THE Free State Eskom debt has skyrocketed by 92% in five years under Ace Magashule, according to George Michalakis, DA-MP.
In the 2009-’10 financial year, when Magashule assumed office, the collective municipal debt owed to Eskom was at a mere R127 million. Five years later, at the end of January 2015, the collective municipal Eskom debt had increased to almost R1,7 billion.
This is due to the gradual collapse of local governance, coupled with rampant financial mismanagement and the inability of the provincial government to give guidance and intervene in collapsing municipalities.
This was revealed by Pravin Gordhan, Cooperative Governance and Traditional Affairs (Cogta) minister, in reply to a written question Michalakis submitted